Which of the following statements is true with respect to the PCAOB and SEC's concept of independence when an auditor both prepares financial statements and audits those financial statements for a client?

A. The auditor cannot audit the financial statements since a lack of integrity exists.
B. The auditor can audit the financial statements only if the audit process does not culminate in the expression of an opinion on the financial statements.
C. The auditor is independent if he or she is able to maintain a level of professional detachment.
D. The auditor is not independent.


Answer: D

Business

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